The quote information for Air Canada call and put option on Apr 16, 2021 is below:

Assume the Air Canada stock price on Apr 16, 2021 will be $45, and the size of each contract is 100 shares.

Call	Bid price	Ask price	Open int.	Strike	Put	Bid price	Ask price	Open int.
16-Apr-21	3.95	4.2	131	27	16-Apr-21	4.75	4.95	29

1. Suppose Jack bought 10 contracts of the Apr 16th call option.

- Describe in detail how Jack does to exercise the calls and make the payoff.

- What are the payoff and profit for Jack?

- Who will be the call option writer? What are the payoff and profit for the call option writer?

2. Suppose Jane bought 10 contracts of the Apr 16th put option. What are her payoff and profit?

3. If Air Canada isues warrants, what is the effect on its stock price compared to call option?